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Clubbing of excise turnover

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Mohd Zubair Amir

Account officer

21 Points Posted on 21 August 2011

Hi All

We have Partnership Unit & A (Private Limited Unit) and another partnership unit in exceise free zone and the turnover of excise free zone unit is more than 3 crore other unit will be treated from ZERO turnover value and other unit can be availed 1.50 crore exemtion value. Products & Product Name are similer in all units but name of unit is different but one word is common all the units name. Family member are common in all units. Kindly advice us unit will be clubbed or not. If this will be clubbed what is the require remedy to get the exemtion in each other unit. Plz give in detail with section also.

It will be highly appreciated

S.K. Agarwal

Replies (1)

CA Unnikrishnan Nair N

Chartered Accountant

2114 Points Posted on 22 August 2011

If each factory is owned by different legal entities, clubbing of clearance is not possible unless departmet proves many commanalities and financial flow back. But the exemption availing unit cannot use trade mark belonging to another unless their factory is situated in rural area.